No Track Record, Lower Rank

In 2024, a government document on public procurement from startups, posted by the Cabinet Secretariat, described a problem. Companies are ranked for public tenders by a score. Setsuritsu mamonaku jisseki no nai sutātoappu wa tensū ga hikuku natte shimai, teii no ranku ni nariyasuku, kibo no ōkii nyūsatsu ni sanka ga seigen sarete shimau. “Newly founded startups with no track record get low scores, tend to be ranked low, and are restricted from large tenders.”

A document released in June 2024 on the website of the Ministry of Economy, Trade and Industry added that a startup must bid at a lower price to beat the overall score of A- and B-ranked companies with a track record and capital.

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